this post was submitted on 02 Oct 2023
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Are you also telling us how much they own of those Burger King franchises in Russia they are supposed to shut down?
They are getting paid 100% of the franchise fees of their Russian businesses.
You don’t own franchise partners by definition. They are individually owned restaurants that pay you a fee to use your brand (name, menu, marketing, etc.).
„Shutting down“ here means: Don’t renew these franchise contracts. The restaurants will continue to exist, but they will have to rebrand and be less lucrative.
And what do you do if those Russian franchise owners refuse to rebrand and continue using the BK name, supplies and signage?
Do you stop providing logistical support? Do you cut them off the BK supply chain (shut that down too) and not provide any new menu items / marketing materials?
Has BK done that?